As per the news reports, Indian IT leaders TCS, Infosys, HCLTech, and Wipro are planning to capitalise on upcoming contract renewals worth $13 billion by December 2025. As global clients demand AI-integrated solutions and cost-efficiency, the competition for mega IT contracts is intensifying.
An estimated $13 billion in IT contract renewals is expected by the end of December 2025, presenting a lucrative opportunity for industry leaders like TCS, Infosys, Wipro, and HCLTech. Over 600 contracts, ranging from $20 million to over $2 billion, are up for renewal in the remaining months, making it one of the busiest periods for IT negotiations.
Key deals include TCS’s ongoing relationships with Star Alliance and Nielsen, Infosys’s engagements with Daimler AG and GE Appliances, HCLTech’s contracts with Ericsson and UK insurer Chesnara, and Wipro’s projects with Germany’s E.ON and Brazil's Petrobras. In a recent major win, TCS secured a $640 million, seven-year contract with Danish insurer Tryg. Similarly, Wipro renewed a two-year contract with European wholesaler Metro, extending its long-term association.
Clients are increasingly focused on integrating artificial intelligence and automation, driving a shift in deal structures. AI is now central to decision-making, with incumbents facing tougher competition due to rising expectations for innovation and savings. This trend has diminished the near-monopoly incumbents previously enjoyed during renewals.
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While mega deals continue to show strength, the average deal size has dipped slightly, hovering just below $100 million. In contrast, BPO contracts have seen further downsizing amid continued cautious spending. The disparity reflects industry efforts to adapt to clients' evolving priorities in a volatile macroeconomic setting.
With $13 billion worth of contracts up for renewal, Indian IT companies are positioned for a pivotal year-end. As clients seek AI-driven value and cost optimisation, the race for mega IT contracts is tighter than ever. TCS, Infosys, and Wipro aim to reinforce their global footprint through strategic wins and timely delivery.
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Published on: Sep 18, 2025, 12:44 PM IST
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